Abstract:
The rapid growth of the Internet, social media usage, und .uj.o--erce have drastically
changed consumer lifestyles and buying patterns by enabling more convenient and
comfortable online platforms. Most of the online shopping that takes place is the result
of the impulsiveness of consumers, as they tend to buy on impulse. Sri Lanka is one of
the growing markets in online retailing, therefore the industry is trying to make
consumers more impulsive to increase the sales of their products and revenue, but the
major obstacle for online retailers is to make impulsiveness regarding their products
among consumers. The main reason is that customers experience panic when they
perceive a risk while getting a desire to purchase a particular product when seeing it
online. At that moment, consumers are becoming more aware and less likely to make
impulsive purchases in an online context due to the perceived risk. It creates a negative
impact on online retailers'who rely on impulse buying to drive sales. Therefore,
understanding the impact of perceived risk on online impulse buying tendency is crucial
for online retailers looking to increase their sales and customer retention.
The purpose of this research study was to explore the impact of perceived risk (financial
risk, product risk, convenience risk, and delivery risk) on online impulse buying
tendency. The data were collected through a self-administrated survey method with the
use of a closed structured questionnaire through a simple random sampling technique
from 364 respondents of government school teachers in the Batticaloa district. The data
was analyzed by using SPSS software and the study used univariate, bivariate, and
regression analysis techniques to analyze the data and find the results of the study
objectives. Researcher hypothesized and found that overall perceived risk, financial
risk, and product risk were found to have a moderately negative relationship with online
impulse buying tendency whereas convenience risk and delivery risk had a negative but
weaker relationship with online impulse buying tendency. The study also suggested
recommendations to online retailers to develop effective strategies to mitigate risk and
encourage impulse buying tendency
